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China Morning Snapshot – 27 August 2021China Morning Snapshot – 27 August 2021 |
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Dalian Commodity Exchange for both PP and PE poses a weak range-bound throughout the morning session.
Details on the spot and futures prices are shown in the following table:
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27 August 2021 |
Prices in CNY |
USD Equivalent |
Changes in CNY |
Changes in USD |
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Combined and reported by CommoPlast |
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Dalian Commodity Exchange (Mid-day closing) |
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PP 2201 |
CNY 8175 |
USD 1116 |
-CNY 41 |
-USD 6 |
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LLDPE 2201 |
CNY 8110 |
USD 1108 |
-CNY 50 |
-USD 8 |
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Spot Domestic Prices (EXW China, Cash equivalent) |
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PPH (East China) |
CNY 8350-8450 |
USD 1140-1154 |
-CNY 50 |
-USD 8 |
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LLDPE (North China) |
CNY 8100-8250 |
USD 1106-1127 |
-CNY 50 |
-USD 8 |
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**All USD equivalent prices are exclusive of 13% VAT |
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Local inventory digestion remains weak as the latest data showed stocks at Sinopec and CNPC’s warehouses fell only 5,000 tons day-on-day to 670,000 tons as of 26 August 2021.
Buyers continue to source materials hand-to-mouth basis even though sellers are open to negotiation. Market participants cautiously express bullish expectations for September, hoping the start of the agricultural and manufacturing season would stimulate demand.
“However, we think most trading activities would concentrate in the local ground because of the shipping issues that hurdle import and export businesses. The reduced import arrivals might support the sentiment in the local market in the coming quarter,” a trader commented.
Country
China
